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The shift to T+1 in the US can largely be described as a success – affirmation rates remain comfortably high, fail rates have stayed reasonably low and FX trades don’t appear to have shifted to bilateral settlement as feared. Depending on the day of the week or the settlement cycle used it’ll be more expensive to trade.”
This conversation is especially relevant as cross-border transactions grow in volume and as asset managers expand their investment in international markets. Kaisha Schnoll, assistant vice president, STP Investment Services In 2025, discussions around the UK and EUs transition to a T+1 settlement cycle are expected to intensify.
Jim Kaye, Executive Director at the FIX Trading Community Next year will be the year of preparation. Market participants readiness for key milestones, like the anticipated go-live of the European consolidated tape (CTP) in 2025 or the transition to T+1 settlement in the UK/EU in 2027, will be critical to ensure long-term success.
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